Summary: Vietnam secured a bilateral trade agreement with the US, reducing tariffs from 46% to 20%. The deal, while imperfect, provides certainty for Vietnam’s economy, heavily reliant on exports, and supports its positioning in global supply chains. However, it also comes with risks, including the potential for higher tariffs compared to other countries and the unclear application of a 40% tariff on transshipment of goods.

Link: https://www.theedgesingapore.com/capital/economic-outlook/what-trade-deal-means-vietnam-and-asia-natixis